Having a modicum of intelligence means I am able to read criticism without my defence mechanism kicking in.
I can't argue with any of the observations made, in fact if I am to be successful I need to listen to traders who have taken the time to pass on their wisdom. I am so very close to making this work now and I am certain I WILL make money from trading. To achieve that though I need to employ an iron discipline.
I can't argue with the fact that I am still losing money. I have learned to trade at a smaller size which is why my losses have been considerably smaller than previously. I knew I should only trade one instrument at a time but I broke that by trading 3 indices and that resulted in my loss last month. I simply cannot break a golden rule like that or I will continue to pour money into IG's coffers.
I spent the weekend as advised by someone from the comments section listing every trade I've made in the last 5 months, the results astonished me.
Winning trades 781
Losing trades 329
More than 2 out of 3 trades I make are winners, yet I lost money?
I have a talent for making successful trades that is only eclipsed by my talent for losing money so the question is how can I utilise my talent for spotting a winning trade and earn from it?
The answer is simple: if I played a ratio of 1:1 I would make money, for example 10 points stop loss, 10 points limit.
So when I next trade I resolve the following.
Only trade one index at a time
Every trade to have a 10 point stop loss
Maximum 10 trades a day over very short time frames
At £2 point if every trade lost I'd be £200 down for the day, that's my maximum loss.
I then have the option of closing for a 10 point win or keep an eye on the open winning trade and bring my stop loss up to 10 points.
I will trial this for one week at £1 point and post my results at the end of that week.
Good luck with your trading and thanks for everyone who has taken the time to comment.
